Check Fraud and Verification

Before buying personal or business checks you should inform yourself of the best ways to protect yourself from check fraud. Since man has written checks check fraud has existed. Like any fraud, check fraud emerged as crafty con artists discovered they could photocopy checks or alter checks to steal money from innocent victims. Thanks to technological advances and craftier con artists, check fraud is as common as a cup of coffee.

As a consumer you should concern yourself with ways to prevent or reduce the chances that checks you write will fall victim to fraud. Fortunately there are many ways to reduce the likelihood of fraud. Whether you are a fan of cheap checks, high quality business checks or personal checks that express your personality, there is security available for you. Chances are you'll find what you're looking for and the security to protect you from check fraud with a little planning.

Once you know what to look for, there s no reason you should fall victim to thieves, crafty or otherwise. Let's take a look at some common security measures check companies use to protect you from thieves.

Check Security

Many check companies including Deluxe(TM) checks now offer consumers special features to help prevent the likelihood of fraud. Among the more common measures adopted to protect consumers include:

Microprinting - micro printing is simply print on the check that is small enough to prevent someone from photocopying the information on the check. Erasure Protection - this protection prevents anyone from erasing information on the check. A white spot appears if someone tries this. Original Document - each check is printed with the words original document that can't be photocopied.

Other companies including Quicken(TM) checks and Quickbooks(TM) checks are taking measures to ensure your safety. Among the security features adopted by these companies include:

Small print. Like Deluxe(TM) checks this prevents thieves from photocopying your information. Erasure protection. Special detail including foil and embossing. This also makes it difficult for thieves to photocopy checks.

Of course the best thing you can do to protect yourself from thieves is balance your checkbook and reconcile monthly statements. This should let you know if someone is writing false checks in your name. Top stub checks provide an easy and convenient place for you to write down transaction details if you don't have time to document purchases in your check register immediately.

Worried that cheap checks won't provide the same protections? Fear not! When buying cheap personal checks find out whether the print on the checks is small. This will help prevent photocopying. Foil and embossing is also available on some styles. This, and any intricate design will help reduce the likelihood that someone will photocopy your checks. The simpler the check, the easier it may be for a thief to copy.

Lastly, if your someone steals your checkbook be sure to contact your bank immediately. There are several measures you can take to protect your identity. You can either transfer funds to a separate account or stop payment on the series of checks in the checkbook stolen. Your bank should provide you with extra information about protecting your identity.

Check Verification

Retailers are also protecting themselves from check fraud. The number one way they are doing this is through check verification. There are several check verification companies that use machines to verify whether a check will clear or not. The more common companies include:

SCAN TeleCheck Check Rite Equifax ChexSystems

If one of these machines dings your check as bad and you know you have cash in your account, it is possible someone might be passing checks in your name. You can call the check verification company to find out and correct any wrong information.

Keep in mind while most people don't intentionally write bad checks or checks they know will bounce, if you do these machines are likely to stop you cold in your tracks.

Now that you know how to protect yourself from check fraud and what security measures are available to help protect you, why not get those daffy duck checks you have been dreaming about?

The Seven Deadly Tax Sins: Commonly Missed Deductions

It's that time again, the April 15 tax deadline is looming large. If youre like most people, you havent gathered all of your tax records, let alone filled your return.

Before you dig in and get started, take this opportunity to first review a list of a few tax deductions to which you may be entitled if you itemize deductions but most people overlook. Many of these deductions are subject to various limitations, so consider getting professional help from your tax advisor and accountant to determine which deductions you qualify for and which items apply to your specific circumstances. Remember, there are hundreds of deductions throughout the tax laws; many of them can be quite obscure but also quite lucrative. Here are seven commonly missed deductions to keep top of mind:

Points on Refinancing: With interest rates so low in 2003, there was a great deal of refinancing activity. Any points you pay to refinance your home can be deducted ratably over the life of the new loan. Furthermore, all unamortized points on old refinancing are deducted in the year of the new refinancing. Health Insurance Premiums: Any health insurance premiums you pay, including some long-term care premiums based on your age, are potentially deductible. Medical expenses have to reach 7.5% of your adjusted gross income before they give you any tax benefit. Self-employed people can deduct 100% of health insurance premiums paid for themselves, their spouses and their dependents. Non-Cash Charitable Contributions: If you have used your charge card for contributions to charity, remember that the deduction is allowed in the year that you made the charge, not when you actually pay the bill. Also, you may write off certain out-of-pocket expenses related to charitable activities. Appraisal fees paid to value property donated to charities may be taken as a miscellaneous deduction subject to the 2% floor on miscellaneous deductions. Higher-Education Expenses: If your adjusted gross income wasn't more than $65,000 ($130,000 for married, filing jointly) in 2003, you can get an above-the-line deduction for as much as $3,000 for any higher-education tuition and fee expense you paid. For 2004, the deduction can be as much as $4,000. For those at higher adjusted gross incomes limits ($80,000 single, $160,000 married filing jointly) the deduction is limited to $2,000 for 2004. This deduction must be coordinated with other education credits and savings vehicles. Work-Related Expenses: You can write off many work-related and work-search expenses, such as education that maintains or improves your skills, certain business tools, dues to labor unions, cell phone depreciation, certain expenses to search for job in your present occupation, including employment agency fees, resum preparation, and travel expenses (local and out of town) and cleaning and laundry bills when on a business trip. Work-related expenses are subject to the 2% floor on miscellaneous deductions. Furthermore, if you buy a new SUV for business use that weighs more 6,000 pounds, and file Schedule C or other business tax return you may be allowed to write off the full amount (up to $102,000 in 2004) in one year as a business expense subject to limitations. Clean-Fuel Deduction: If you are not in the market for a large SUV for business, you still can get a deduction for your personal car, another above-the-line deduction of up to $2,000 for 2003 ($1,500 for 2004) of the cost of buying a clean-fuel vehicle or a car that uses a significant source of energy other than gasoline. That includes hybrid cars, such as the Toyota Prius, the Honda Insight and the Honda Civic Hybrid. You get the deduction in the year you start using the car, and you must be the original owner. Investment and Tax Expenses: In addition to forgetting to deduct tax-preparation fees and the portion of your legal, accounting or financial planner fees that relate to tax planning, many people miss deducting investment expenses. Those include certain fees paid to your financial advisor and/or broker and certain IRA fees you may pay directly. It also may include mileage for meetings and long-distance phone calls to your advisor or broker. Dont forget to include deductions for the cost of your investment publications or subscriptions, safe deposit boxes used for investment-related documents, these deductions are subject to the 2% floor on miscellaneous deductions.